Wednesday, June 20, 2012

Big lessons that small companies teach

From Nordstrom (a Custommerce blog favorite) to Southwest to
Taj, all are brands synonymous with great customer service. Yet these and only
a handful of other large corporations seem to be known for their service ethic.
But at the same time, you see many small and medium sized companies consistently
getting their customer service ethos firmly in place. Many may attribute that
to lesser customers or negligible hierarchy but like this article in HBR will
tell you, it sometimes just comes down to empathy
and common sense. So where else does the secret to good customer service
lie in a medium sized enterprise? And what virtues of these companies can
larger enterprises look to replicate?

A large hotel in Chennai is known to give its employees
Rs.1000 everyday as a limit which they can use to repair any reasons of
dissatisfaction with a customer. They can use that money on one customer or
ration it through the day but it gives them the liberty to improve an
experience. This can involve a complimentary drink, snack or anything that the
restaurant offers. The limit ensures prudence yet at the same time it allows
flexibility. Now, flexibility is an important lesson that most large companies
can take from smaller companies like this hotel did. Small and medium
enterprises generally have the advantage of flexibility in the way they can
serve their customers. They can tailor their customer service efforts as per
the customer requirement. Even larger companies can work past Standard
Operating Procedures and bring in some flexibility to allow for a better
service experience for customers. Another great virtue which large companies
can pick from smaller enterprises is of having a top management which prefers a
hands-on-approach. Customers of smaller enterprise are able to reach top
management with their grievances much faster then they can reach a middle
manager at a large enterprise. With certain protocols in place and by basing
cases on priority, even a large enterprise can achieve this objective.

On the whole large companies need to see how they can bring
in initiatives from smaller companies in moderation backed by strong business
cases. They can serve customers much better by steering away from rigidity
towards incorporating techniques that can improve the service experience. The
lessons small companies are giving aren’t very tough to understand or
implement. You just need to use common sense to know how much to commit, and
remember, that all your customers need, is a little empathy.